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Catastrophe bonds

  • Cat bond trading slowed in early March amid uncertainty over the outlook for upcoming issuance
  • The California Earthquake Authority (CEA) plans to make further use of "club" cat bond issuances through the Resilience Re platform this year
  • Swiss Re has recalled its Vita Capital V extreme mortality bond, one year ahead of maturity
  • The cat bond market is on track to post a strong total for first quarter issuance, although investors remain wary of the deal pipeline slowing down later in the year
  • The world's biggest catastrophe cedant Zenkyoren is set to renew its vast reinsurance treaty with a new 200bn yen ($1.8bn) top layer, Trading Risk can reveal
  • A few years ago when the pace of the ILS market's expansion really began picking up, the concept of the sector having "decoupled" from the reinsurance market engine was first mooted
  • The London market initiative to attract more ILS business to the city is not designed as an attempt to challenge Bermuda's success in the sector, according to International Underwriting Association chairman Malcolm Newman.
  • TransRe expanded its sidecar support from Pangaea Re and other vehicles to more than $400mn of limit in the January renewals, the company confirmed to Trading Risk
  • Standardisation will take market to ‘next level'; Risk analyses valued
  • The ILS market is not yet at a point where its decline in relative value would lead investors to take money off the table, according to panellists at the Sifma IRLS 2016 conference.
  • More than $900mn of new demand for private reinsurance cover in Florida is expected at this year's June renewals, as a number of carriers look to further reduce their reliance on the state-backed Florida Hurricane Catastrophe Fund (FHCF)
  • Specific structures adapted to the ILS market are likely to be required if alternative capital is to expand more broadly into the corporate insurance sector, panellists at the Sifma IRLS 2016 conference agreed.
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